Uber’s Surge Pricing Illustrates Supply & Demand

“This is a direct benefit to the labor market, and it’s applicable only to those who wish to participate in these higher demand days. Uber incentivizes their drivers to work the days nobody wants to work. The cost isn’t passed on to the general customer base — it is passed on to the people who demand that service at that time. How angry would these people be if they requested a ride to learn that “there are no drivers available” or that there is “wait time: 2 hours” as is completely normal for a taxi ride at 2am in Las Vegas?”

Read more at The Libertarian Republic.


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